IRS Installment Agreement Payment Calculator

ANA›Life Services Authority›National Calculator Authority›IRS Installment Agreement Payment Calculator

.calc-container { max-width: 640px; margin: 2rem 0; padding: 1.5rem; background: #fff; border: 1px solid #ddd; border-radius: 8px; box-shadow: 0 1px 3px rgba(0,0,0,0.06); font-family: system-ui, -apple-system, sans-serif; } .calc-container h3 { font-family: Georgia, serif; font-size: 1.15rem; color: #1a1a1a; margin-bottom: 1rem; padding-bottom: 0.5rem; border-bottom: 2px solid var(--ac, #3d5a80); } .calc-row { display: flex; align-items: center; gap: 0.75rem; margin-bottom: 0.75rem; flex-wrap: wrap; } .calc-row label { min-width: 160px; font-size: 0.9rem; color: #333; font-weight: 500; } .calc-row input[type="number"], .calc-row select { flex: 1; min-width: 120px; max-width: 200px; padding: 0.5rem 0.6rem; border: 1px solid #ccc; border-radius: 4px; font-size: 0.9rem; font-family: system-ui, sans-serif; color: #1a1a1a; background: #fafaf8; } .calc-row input:focus, .calc-row select:focus { outline: none; border-color: var(--ac, #3d5a80); box-shadow: 0 0 0 2px rgba(26,74,138,0.12); } .calc-row .unit { font-size: 0.82rem; color: #888; min-width: 30px; } .calc-btn { display: inline-block; margin-top: 0.5rem; padding: 0.55rem 1.5rem; background: var(--ac, #3d5a80); color: #fff; border: none; border-radius: 4px; font-size: 0.9rem; font-weight: 600; cursor: pointer; font-family: system-ui, sans-serif; } .calc-btn:hover { opacity: 0.9; } .calc-result { margin-top: 1.25rem; padding: 1rem 1.25rem; background: #f0f6fc; border-left: 3px solid var(--ac, #3d5a80); border-radius: 0 6px 6px 0; display: none; } .calc-result.visible { display: block; } .calc-result-label { font-size: 0.78rem; text-transform: uppercase; letter-spacing: 0.06em; color: #666; margin-bottom: 0.25rem; } .calc-result-value { font-size: 1.6rem; font-weight: 700; color: var(--ac, #3d5a80); } .calc-result-detail { font-size: 0.85rem; color: #555; margin-top: 0.5rem; line-height: 1.5; } .calc-note { margin-top: 1rem; font-size: 0.8rem; color: #888; font-style: italic; } .calc-grid { display: grid; grid-template-columns: 1fr 1fr; gap: 0.75rem; margin-top: 0.75rem; } .calc-grid-item { padding: 0.6rem 0.8rem; background: #f8f9fa; border-radius: 4px; border: 1px solid #eee; } .calc-grid-item .label { font-size: 0.75rem; color: #888; text-transform: uppercase; letter-spacing: 0.04em; } .calc-grid-item .value { font-size: 1.1rem; font-weight: 600; color: #1a1a1a; } @media (max-width: 720px) { .calc-row { flex-direction: column; align-items: flex-start; gap: 0.3rem; } .calc-row label { min-width: auto; } .calc-row input[type="number"], .calc-row select { max-width: 100%; width: 100%; } .calc-grid { grid-template-columns: 1fr; } } .calc-chart { margin: 1rem 0; text-align: center; } .calc-chart svg { max-width: 100%; height: auto; } .calc-chart-legend { display: flex; flex-wrap: wrap; justify-content: center; gap: 0.6rem 1.2rem; margin-top: 0.6rem; font-size: 0.8rem; color: #555; } .calc-chart-legend span { display: inline-flex; align-items: center; gap: 0.3rem; } .calc-chart-legend i { display: inline-block; width: 10px; height: 10px; border-radius: 2px; font-style: normal; } .calc-related { max-width: 640px; margin: 2rem 0 1rem; padding: 1.25rem 1.5rem; background: #f8f9fa; border: 1px solid #e8e8e8; border-radius: 8px; } .calc-related h3 { font-family: Georgia, serif; font-size: 1rem; color: #1a1a1a; margin: 0 0 0.75rem; padding-bottom: 0.4rem; border-bottom: 2px solid var(--ac, #3d5a80); } .calc-related-list { list-style: none; padding: 0; margin: 0 0 0.75rem; display: grid; grid-template-columns: 1fr 1fr; gap: 0.4rem 1.5rem; } .calc-related-list li a { font-size: 0.88rem; color: var(--ac, #3d5a80); text-decoration: none; } .calc-related-list li a:hover { text-decoration: underline; } .calc-browse-all { margin: 0.5rem 0 0; font-size: 0.9rem; font-weight: 600; } .calc-browse-all a { color: var(--ac, #3d5a80); text-decoration: none; } .calc-browse-all a:hover { text-decoration: underline; } @media (max-width: 720px) { .calc-related-list { grid-template-columns: 1fr; } }

IRS Installment Agreement Payment Calculator

Estimate your required monthly payment under an IRS Installment Agreement, including accrued penalties and interest on your outstanding tax balance.

Total Tax Balance Owed ($)

Installment Agreement Type

Guaranteed (≤ $10,000, ≤ 3 years) Streamlined (≤ $50,000, ≤ 72 months) Streamlined (≤ $100,000, ≤ 84 months) Custom / Non-Streamlined

Repayment Term (Months)

IRS Federal Short-Term Rate (%/year) ℹ️

IRS interest = Federal Short-Term Rate + 3%. Default: 8% (2024 Q4).

Months Balance Has Been Overdue

Used to calculate accrued interest and failure-to-pay penalty before the agreement starts.

Filing Status (for penalty calculation)

Return Already Filed Return Not Yet Filed

Calculate

function irsCalc() { var resultDiv = document.getElementById('irs-result'); resultDiv.style.display = 'block'; resultDiv.className = 'calc-result';

// --- Inputs --- var balance = parseFloat(document.getElementById('irs-balance').value); var months = parseInt(document.getElementById('irs-months').value); var annualRate = parseFloat(document.getElementById('irs-federal-rate').value); var monthsOverdue = parseInt(document.getElementById('irs-months-overdue').value); var filingStatus = document.getElementById('irs-filing-status').value; var agreementType = document.getElementById('irs-agreement-type').value;

// --- Validation --- var errors = []; if (isNaN(balance) || balance 30) errors.push('Annual interest rate must be between 0% and 30%.'); if (isNaN(monthsOverdue) || monthsOverdue 10000) errors.push('Guaranteed IA requires balance ≤ $10,000.'); if (agreementType === 'guaranteed' && months > 36) errors.push('Guaranteed IA allows max 36 months.'); if (agreementType === 'streamlined' && balance > 50000) errors.push('Streamlined IA (standard) requires balance ≤ $50,000.'); if (agreementType === 'streamlined' && months > 72) errors.push('Streamlined IA (standard) allows max 72 months.'); if (agreementType === 'streamlined100' && balance > 100000) errors.push('Streamlined IA (expanded) requires balance ≤ $100,000.'); if (agreementType === 'streamlined100' && months > 84) errors.push('Streamlined IA (expanded) allows max 84 months.');

if (errors.length > 0) { resultDiv.className = 'calc-result calc-error'; resultDiv.innerHTML = 'Please fix the following:' + errors.map(function(e){ return ''; }).join('') + ''; return; }

// --------------------------------------------------------------- // STEP 1: Failure-to-Pay Penalty (IRC §6651(a)(2)) // 0.5% per month (or partial month) on unpaid tax, max 25% // If return unfiled: additional 5% per month failure-to-file // penalty (IRC §6651(a)(1)), max 25%, reduced by FTP penalty // --------------------------------------------------------------- var ftpRate = 0.005; // 0.5% per month var ftpMonths = Math.min(monthsOverdue, 50); // max 25% / 0.5% = 50 months var ftpPenalty = balance * ftpRate * ftpMonths; ftpPenalty = Math.min(ftpPenalty, balance * 0.25); // cap at 25%

var ftfPenalty = 0; if (filingStatus === 'unfiled') { // Failure-to-file: 5% per month, max 25%, net of FTP (so net 4.5%/mo) var ftfRate = 0.05; var ftfMonths = Math.min(monthsOverdue, 5); // max 5 months = 25% ftfPenalty = balance * ftfRate * ftfMonths; ftfPenalty = Math.min(ftfPenalty, balance * 0.25); // FTF is reduced by FTP for same period (net 4.5%/mo for first 5 months) var ftpCredit = balance * ftpRate * Math.min(monthsOverdue, 5); ftfPenalty = Math.max(0, ftfPenalty - ftpCredit); }

// --------------------------------------------------------------- // STEP 2: Accrued Interest (IRC §6601) // Daily compounding: daily rate = annual rate / 365 // Interest accrues on tax + penalties // --------------------------------------------------------------- var dailyRate = annualRate / 100 / 365; var daysOverdue = monthsOverdue * 30.4375; // avg days per month var principalWithPenalties = balance + ftpPenalty + ftfPenalty; // Compound interest: A = P * (1 + r)^n var accruedInterest = principalWithPenalties * (Math.pow(1 + dailyRate, daysOverdue) - 1);

// --------------------------------------------------------------- // STEP 3: Total Balance at Agreement Start // --------------------------------------------------------------- var totalBalance = balance + ftpPenalty + ftfPenalty + accruedInterest;

// --------------------------------------------------------------- // STEP 4: Monthly Payment During Agreement // Interest continues to accrue during the IA at the same daily rate. // Monthly rate approximation: (1 + dailyRate)^30.4375 - 1 // Standard amortization formula: // M = P * [r(1+r)^n] / [(1+r)^n - 1] // where r = monthly interest rate, n = number of months // --------------------------------------------------------------- var monthlyRate = Math.pow(1 + dailyRate, 30.4375) - 1; var monthlyPayment;

if (monthlyRate === 0) { monthlyPayment = totalBalance / months; } else { var factor = Math.pow(1 + monthlyRate, months); monthlyPayment = totalBalance * (monthlyRate * factor) / (factor - 1); }

// --------------------------------------------------------------- // STEP 5: Total Cost & Interest Paid Over IA Term // --------------------------------------------------------------- var totalPaid = monthlyPayment * months; var totalInterestDuringIA = totalPaid - totalBalance; var totalInterestAndPenalties = ftpPenalty + ftfPenalty + accruedInterest + totalInterestDuringIA;

// --------------------------------------------------------------- // STEP 6: IRS User Fee (Rev. Proc. 2023-1 / IRS Fee Schedule) // Direct Debit: $31 online / $107 by phone/mail // Non-Direct Debit: $130 online / $225 by phone/mail // Low-income waiver available // --------------------------------------------------------------- var feeDirectDebit = 31; var feeNonDirectDebit = 130;

// Format helpers function fmt(n) { return '$' + n.toFixed(2).replace(/\B(?=(\d{3})+(?!\d))/g, ','); } function fmtPct(n) { return (n * 100).toFixed(4) + '%'; }

var agreementLabels = { 'guaranteed': 'Guaranteed IA (≤ $10,000 / ≤ 36 months)', 'streamlined': 'Streamlined IA (≤ $50,000 / ≤ 72 months)', 'streamlined100': 'Streamlined IA Expanded (≤ $100,000 / ≤ 84 months)', 'custom': 'Custom / Non-Streamlined IA' };

resultDiv.innerHTML = '### Results ' + '' + 'Agreement Type' + agreementLabels[agreementType] + '' + 'Original Tax Balance' + fmt(balance) + '' + 'Failure-to-Pay Penalty (pre-IA)' + fmt(ftpPenalty) + ' (' + (Math.min(monthsOverdue,50)0.5).toFixed(1) + '% of balance)' + (filingStatus === 'unfiled' ? 'Failure-to-File Penalty (pre-IA)' + fmt(ftfPenalty) + '' : '') + 'Accrued Interest (pre-IA, ' + monthsOverdue + ' months)' + fmt(accruedInterest) + '' + 'Total Balance at IA Start' + fmt(totalBalance) + '*' + 'Annual IRS Interest Rate' + annualRate.toFixed(2) + '% (daily compounding)' + 'Monthly Interest Rate (effective)' + fmtPct(monthlyRate) + '' + 'Repayment Term' + months + ' months' + '📅 Estimated Monthly Payment*' + fmt(monthlyPayment) + '*' + 'Total Amount Paid Over IA Term' + fmt(totalPaid) + '' + 'Interest Accrued During IA' + fmt(totalInterestDuringIA) + '' + 'Total Penalties + Interest (all)' + fmt(totalInterestAndPenalties) + '' + 'IRS Setup Fees (one-time):' + '• Direct Debit (online): ' + fmt(feeDirectDebit) + '' + '• Non-Direct Debit (online): ' + fmt(feeNonDirectDebit) + '**' + 'Low-income taxpayers may qualify for fee waiver. See IRS Form 13844.' + '' + '⚠️ This is an estimate. Actual IRS amounts may vary based on exact due dates, payment history, and IRS adjustments. Consult a tax professional or IRS.gov for official figures.

'; }

// Initialize field constraints on load irsUpdateFields();

#### Formulas Used

1. Failure-to-Pay Penalty (IRC §6651(a)(2)): FTP = Tax Balance × 0.5% × months overdue (max 25% of balance)

2. Failure-to-File Penalty (IRC §6651(a)(1)) — if return unfiled: FTF = Tax Balance × 5% × months overdue (max 5 months = 25%), reduced by FTP for same period (net 4.5%/month)

3. Accrued Interest (IRC §6601) — daily compounding: Daily Rate = Annual Rate ÷ 365 Interest = (Balance + Penalties) × [(1 + Daily Rate)days − 1]

4. Total Balance at IA Start: Total = Original Balance + FTP Penalty + FTF Penalty + Accrued Interest

5. Monthly Payment (standard loan amortization): Monthly Rate (r) = (1 + Daily Rate)30.4375 − 1 M = Total Balance × [r × (1 + r)n] ÷ [(1 + r)n − 1] where n = number of months in repayment term

6. IRS Interest Rate: IRS Rate = Federal Short-Term Rate + 3% (IRC §6621), compounded daily (IRC §6622)

#### Assumptions & References

Sources: IRS Payment Plans, IRC §§6159, 6601, 6621, 6622, 6651.

IRS Installment Agreement Payment Calculator

IRS Installment Agreement Payment Calculator

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